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Passive resistance would aid consumers

Where I disagree with Peter is that the value of an IFA practice will not be based on “passive” income.

It may simply be semantics but “passive” to me implies revenue generated without any work being done for the client.

If the FSA wanted to do something positive for the consumer it would simply ban any form of “passive” income.

Only where there is a measurable service delivery to the client should there be any form of payment to the intermediary. Only where there is an agreed service for remuneration will there be any value in an IFA business.

I also hope that Peter is entirely wrong when he predicts that there will be “an element of blurring in advice and sales accompanying the final version of the RDR”.

Johnson Fleming has published a step-by-step guide demonstrating the importance of record keeping and reporting, and how it can ensure you operate a successful scheme. The guide takes you through some key questions you need to ask and identifies the information you need to obtain. The topics include: why you need to keep records and the benefits of doing this; registering your scheme; what information you need to record to ensure you meet the Pensions Regulator’s requirements; and what items need to be recorded and when.

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19th December 20188:33 am

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